36 Marketing Terms You Should Know
Testing two versions of an advertisement, email subject line, landing page, CTA, etc. to see which one performs better. A/B split testing will help you better target your audience by showing you which of these performs better.
Above the Fold
Above the fold refers to any content that appears before the user has to scroll. Your most important content as well as your H1 tag (for SEO purposes) and a call to action should appear before a user has to scroll. If a customer lands on your site and they do not immediately know what is going on, there is a chance they will press that back button.
Bottom of the Funnel
Last stage in the buying process. When leads move through the top of the funnel (identifying a problem), the middle (shopping for solutions), and finally, to the bottom, where they’re ready to buy. At this stage of the buyer journey where leads have identified their problem, selected the solution they want to use and are close to making a purchase decision.
The number of people who land on a page of your website and leave without clicking on anything before moving on to another page on your site.
A summary of your ideal buyer, based on market research, data and hypothesis. The representation helps marketers define their ideal audience and it helps salespeople determine lead quality.
Click Through Rate (CTR)
When running a social media advertising campaign, the click through rate shows how many times an ad was clicked on by users. In order to calculate your CTR you will need to take the total number of clicks your ad received and divide it by the number of times it was shown (impressions). Then convert that number to a percentage.
The path, or course of actions, a prospect will go through to eventually become a lead. These events can include a call to action, lead form, thank you page, downloadable content, etc
Percentage of people who take the desired action, such as filling out a form, registering, signing up for a newsletter, or any activity other than just browsing a web page.
Cost Per Impression (CPI)
CPI measures how many times your ad appears on a site whether or not the users actually sees it or interacts with it.
Cost Per Lead (CPL)
The total cost marketing pays to acquire a lead. It is an important metric to keep track of and it influences your Customer Acquisition Cost (CAC).
Customer Acquisition Cost
A measurement that allows you to assess the cost of scaling up your business.
It can be calculated by dividing the time and money spent on customer acquisition for a specific period of time by the number of new customers gained.
(Money + Time Spent)/Number of New Customers
A specific profiling aspect that takes into consideration age, gender, income, family life, social class, etc. It’s often used in segmentation or for focal points in marketing and advertising strategies.
A measurement of likes, shares, comments or other interactions a particular piece of content receives. Usually the higher your engagement rate is, the better your content is – which is great for SEO. If search engines see that users are interacting with your website and social media channels you will be viewed as a notable source in your industry.
A keyword phrase, written without spaces, with a # in front of it. It allows you and your audience to interact and converse about specific topics on social media.
A form of marketing focused on creating content that naturally draws targeted audiences into a company’s website by earning trust and providing value to those specific audiences. Content marketing can include podcasts, video, eBooks, email broadcast, SEO, Social Marketing, etc., rather than paid advertising.
Impressions measure how many times your ad or content was displayed. Impressions build brand recognition while reach will help you build your brand.
A specific word or phrase that describes the content of a webpage. It should always align with your target audience.
Key Performance Indicator (KPI)
KPI’s are used to measure the success of your campaigns. Your KPI can be any type of analytic like a click through rate, engagement rate, bounce rate and so on.
An individual or a company that has shown interest in one of your products or services. Could be either an MQL (Marketing Qualified Lead) or an SQL (Sales Qualified Lead).
Lead generation is exactly what it sounds like – how your business generates leads or how you grab the attention of your customers.
A lead magnet is a small giveaway, free ebook, guide, etc. that your business offers to customers in exchange for their email address. A lead magnet is a tool that is going to help your business capture those potential customers.
Once a potential lead becomes a lead, you will need to nurture them until they become a customer. Typically, business nurture their leads through their sales funnel. Lead nurturing can be in the form or sending emails, retargeting them on social media or actually calling your potential customers to follow up with them.
Lifetime Customer Value
A prediction of the net profit attributed to the entire future relationship with a customer.
This is the tool that lets you “automate” your marketing campaigns. Through lead nurturing, behavior-based strategies and more, you can use marketing automation to send the right marketing messages to the right people at the right time.
Middle of the Funnel (MOFU)
The stage of the sales funnel which a buyer enters after they have identified a problem. This is the point at which you position your business as the solution to their problem.
Pay Per Click (PPC)
A method of advertising on the internet where you only pay when someone “clicks” on your ad.
A pixel is a snippet of code that is inserted onto your website for tracking purposes. It can gather data on your customers and their movement across your website. You can also use pixels to retarget customers with Facebook with future ads.
A qualified lead meets your company’s criteria, or buyer persona attributes, and is more likely to buy. A marketing qualified lead meets marketing objectives, while a sales qualified lead meets sales objectives.
Reach is the potential number of customers it is possible to reach through an advertising medium (social media, print media etc.). Reach refers to the number of people who are exposed, at least once to your message.
Return on Investment (ROI)
A way to measure the profitability of the investment you make in marketing, sales, etc. If the ROI on investment is negative, it generally means you’re losing money on that endeavor.
Odds are, you have seen remarketing on a daily basis. If you are shopping online and are viewing a book, this book will most likely show up again on another website you visit on in your social media feed. Remarketing is a tactic used to get customers who did not make a purchase to return to your site.
Sales (Marketing) Funnel
The entire sales process as a whole – from prospect to paying customer – and all marketing, advertising and sales processes in between. It is often represented visually.
Search Engine Optimization (SEO)
SEO is the organic way to move your site up in search engine rankings. There are many moving parts to SEO and to do it correctly, you must think of SEO holistically – all aspects of your presence and activities online can impact it.
Top of the Funnel (TOFU)
Whereas Bottom of the Funnel (BOFU) prospects are in the ready-to-buy stage, TOFU customers are at the initial stages of the buying process. They are looking for answers to a problem they just realized they are having. Marketers create TOFU content that help prospects identify the problem and leads them to solutions.
Unique Selling Proposition
A factor that differentiates a product from its competitors, such as the low cost, the quality, etc.
A description of your company’s top priorities and how those translate into marketing and sales initiatives.
Now You Know!
If you understand these marketing terms, congrats, you are ready to take the next step in growing your business!
If you still have some questions about these marketing terms contact the professionals at 4 Chicks We can help you build your social media strategy, run advertisements, manage email campaigns and even build you a new high-converting website!